Bitcoin is currently down by as much as 6 percent. There could be multiple reasons for this, either one or a combination of two or all.
First, we have seen Bitcoin went up to 66K yesterday, reaching a new all-time high while altcoins are also pumping. Such scenario I think is unsustainable as it takes away the much needed funds to pump Bitcoin for further gains. This happens when users, particularly the big ones, sell their Bitcoin to buy altcoins.
Second, many users have secured their gains expecting a correction this weekend. We all know that Bitcoin could not just continuously pump. There is always a time for correction. But I believe that the correction will not be that much. Bitcoin will stay above 62K and will do sideways.
Lastly, exchanges could be playing some games right now to try to recover their losses in the last few weeks as well as to shake those with paper hands to sell their Bitcoin at a cheaper price. I think exchanges are holding less Bitcoin than what they owe to their users, excluding their personal bags. Hence, they may be looking for a very good entry to buy and amass in case some users decide to withdraw to their non-custodial wallets. This is not to mention the losses they incurred from their futures market.
I am more excited for this shakedown to end. I think we will see it by the start of next week. It could either give altcoins the time to shine on their own but I am also wary at the same time that Bitcoin may went down to 60K if a lot of users decide to sell their Bitcoin and get altcoins where more massive gains can be obtained. However, we could also see the start of next week as a continuation of Bitcoin pump. Seeing it above 65K before a short the altcoin season gives me more confidence that the market will be in great shape while we enjoy the gains from our altcoins.
Nevertheless, I think altcoin season will start either next week or the beginning of November. It will be a breather for altcoins before bleeding again. I expect it to last for two to three weeks before Bitcoin takes the spotlight away from altcoins again which could last until December, which has always been a month for Bitcoin in the last few years. This will be followed by a longer altcoin season starting on the second week of January until February. Whatever happens after February is uncertain. A continued run for Bitcoin as the last for this cycle is more likely and as always followed by a super altcoin season.
(This is not a financial or investment advice. This is merely my opinion. Kindly do your own research diligently.)
